LA Business Daily

I'm Lazy. Where can I invest my disposable income without having to check up on it every day?

I have about 300 of disposable income every month. I don't know a thing about investing but I want to start planning my retirement early. I'm 2- yrs old? Suggestions?

Public Comments

1. I'll take care of it for you. Don't worry.
2. Try T Rowe Price, do a $300 auto investment monthly into an index fund. You'll be glad you did! If you're just starting out investing stick with mutual funds.
3. You're two? Try your bank, and invest in a Roth IRA. Or save your money until you have about $2000 and open a Roth IRA with Schwab or Vanguard. They have less fees then a bank.
4. Survey says.........its easy! 1. Don't go to any investing firms because they have hidden sale charges. 2. You can go to your local bank and purchase saving bonds and certificates of deposit (CD). These two investments require no professional help, and they guarntee a return.
5. savings or a money market account.
6. Since your lazy, under your bed, then you'll be on top of it every day:)
7. unlike what Lamar said, not all investing firms have "hidden sales charges." Those CD's and savings bonds from a bank will yield you about 4 to 5% per year. After taxes and inflation, you will lose value. Stocks on the other hand have in the past yielded about 11% to 12% per year total return. Much better for long term retirement investing. Vanguard and T. Rowe Price are 2 of the biggest investing firms that do not have hidden sales charges or "loads". I suggest you go to www.troweprice.com or call them (phone on web site) and invest in one of their "Target Retirement Funds." It will be more diversified that a straight index fund and is a good buy and forget fund. Most firms have a minimum initial investment ($1,000 for one of Vanguard's funds, $3,000 for several others), but T. Rowe Price allows you to invest as little as $50 per month until you reach their $2500 minimum.
8. If you have a" lump sum" ( $2500-$3000.) to get started, go to Fidelity's web site, call a rep and get into a nice conservative fund for awhile....set up your automatic investment ( if you want) or just add when you feel like it. You're so young you could be more venturesome and get into something more aggressive that includes some global investments (you'll be way ahead of the game in a few years!) If you don't want to start with a " lump sum" you're probably better of going with someone like E-trade...set up an account... buy a few shares in some "index ETF's" ( including the global!!) You don't have to " watch" a thing...just check in after the first nine months or a year and grin!! ( I hope) If you need some info on ETF's go to: http://best-of-etfs.com/family.asp?fam=EXTRADED If this IS going to be your "retirement" money, get the money into an IRA.account ( the investments can be the same, just "labeling" the account).... Traditional IRA or ROTH, that's up to you...but it's the best place for your money...right now.